Allowed

Uco Bank v. Dnyandev Mhaske

DRT3 Apr 2025OA/256/2023

Case brief

AI extract

What is this about?

In an ex parte recovery application, the Tribunal allowed the claim for agricultural loan defaults. While rejecting specific hypothecated asset relief due to lack of description, it granted recovery of the principal along with future interest at a capped rate of 9% per annum and ordered the issuance of a Recovery Certificate and sale of mortgaged land.

What did the court decide?

Recovery of Rs. 7,09,892/- and Rs. 29,53,586/- along with future interest @ 9% p.a.; execution against mortgaged land; issuance of Recovery Certificate.

Uco Bank versus Dnyandev Mhaske — Banking and Recovery | DRT (2025)

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Presented on .. 15.07.2022 Registered on .. 18.02.2023 Decided on .. 03.04.2025 Duration .. Y—M—D 02--08--18

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IN THE DEBTS RECOVERY TRIBUNAL AT PUNE (Before Shri Dilip G. Murumkar, Presiding Officer) ORIGINAL APPLICATION No. 256/2023.

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UCO Bank,

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A Corporate Body constituted under the Banking Companies (Acquisition & Transfer of Undertakings) Act 1970 and having its head office at 10, B.T.M. Sarani, Kolkata and branch at Giyaji Mension, 225/9 A, PuneSolapur Road, Hadapsar, Pune 411028

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… Applicant

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Versus

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1 Shri Dnyandev Nivrutti Mhaske, Age – Adult, Occ. – Agriculture, R/at – 537 A, Khuda Vasti, At Dalimb, Post Shindvane, Taluka Daund, District Pune 412 202.

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2 Shri Uttam Nivrutti Mhaske, Age – Adult, Occ. – Agriculture, R/at – 537 A, Khuda Vasti, At Dalimb, Post Shindvane, Taluka Daund, District Pune 412 202.

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Sanap ( OA No. 256/2023 ) 1 of 7

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3 Shri Balu @ Balaso Namdev Mhaske, Age – Adult, Occ. – Agriculture, R/at – 528 A, Khuda Vasti, At Dalimb, Post Shindvane, Taluka Daund, District Pune 412 202. … Defendants

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:- Appearances

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For Applicant Advocate R.B. Ganbote. For Defendants Ex parte.

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Total Claim Amount – Rs.36,63,478/-

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JUDGEMNT

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(Delivered on 03^rd April, 2025)

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The Applicant Bank has filed the present application for recovery of the sum of Rs.36,63,478/- together with future interest @12.60 and 13.20% per annum respectively from the date of Application till realization of the entire dues from the defendants.

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Brief facts of the application are as under :-

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As per the loan applications of defendant No.1, the applicant Bank sanctioned the following loan facilities to defendant No.1.

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Name of facility Amount Rs. Date of Sanction 1 KCC 2,40,000 18.12.2012 2 Term Loan 18,00,000 13.04.2015

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Sanap ( OA No. 256/2023 ) 2 of 7

20.10.2016

3 Term Loan

2,90,000

Defendant No.2 stood guarantor for the repayment of KCC and Term loan of Rs.2,90,000/- availed by defendant No.1. Defendant No.3 stood guarantor for the repayment of Term loan of Rs.18,00,000/- availed by defendant No.1.

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In order to secure the aforesaid loan facility, the defendants executed necessary loan and security documents in favour of the applicant Bank. Defendant No.1 has also executed deed of mortgage of agriculture land bearing Gat No. 106 (P) admeasuring 12R, Gat No. 107 (P) admeasuring 07R, Gat No. 115 admeasuring 1H 69R and Gat No. 128(P) admeasuring 40R at village Dalimb, Taluka Daund, District Pune, in favour of the applicant Bank.

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The defendants have also executed Acknowledgments on 31.03.2015, 03.01.2018, 10.04.2018, 10.10.2019, 01.10.2020 and 09.04.2021 and thereby confirmed the balance outstanding in loan accounts.

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The applicant Bank contended that the defendants committed defaults in payment of installments and

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Sanap ( OA No. 256/2023 ) 3 of 7

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failed to regularize the accounts. Hence, the applicant Bank has classified the account of the defendants as Non Performing Asset in accordance with guidelines of Reserve Bank of India. Therefore, on 26.04.2021, the applicant Bank issued legal Notice to the defendants. Despite service of Notice, the defendants failed and neglected to pay the outstanding dues of the applicant Bank.

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Hence, this application is filed.

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The defendants failed to appear despite service of summons. Hence, the application proceeded ex-parte as Order dated 20.02.2025 below per passed Application (Exhibit-1).

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The applicant Bank has filed Claim Affidavit of evidence (Exhibit-6) of Shri Satyabrata B. Sahani, Chief Manager and Principal Officer of the applicant Bank, and has produced on record the original loan transaction documents at Sr. Nos. AW-1 to AW-26 along with list (Exhibit 7), which corroborates the case of the applicant Bank.

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I have heard arguments of the learned Advocate for the applicant Bank.

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Sanap ( OA No. 256/2023 ) 4 of 7

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Since the defendants failed to appear and contest the application, I find no reason to disbelieve evidence of the applicant Bank. Therefore, the applicant Bank is entitled for reliefs as claimed.

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The applicant Bank has claimed relief in respect of hypothecated assets. However, there is no detailed description with respect to the hypothecated assets, therefore, the relief in terms of hypothecated assets cannot be granted.

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The applicant Bank has claimed future interest @12.60 and 13.20% per annum respectively. However, considering the facts of the case, I am of the opinion that if future interest is granted @9% per annum (simple), it would be just and reasonable rate of interest.

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Hence, I pass the following order.

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O R D E R

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A} Original Application No. 256/2023 is allowed with costs.

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B} Defendant Nos. 1 and 2 either jointly or severally shall pay to the applicant Bank the sum of Rs.7,09,892/(Rupees Seven Lakhs Nine Thousand Eight Hundred

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Sanap ( OA No. 256/2023 ) 5 of 7

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Ninety Two only) towards KCC and Term Loan facilities along with future interest @9% per annum from the date of filing of the Original Application i.e. 15.07.2022 till full payment/realization of the amount mentioned in this operative order.

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C} Defendant Nos.1 and 3 either jointly or severally shall pay to the applicant Bank the sum of Rs.29,53,586/(Rupees Twenty Nine Lakhs Fifty Three Thousand Five Hundred Eighty Six only) towards Term Loan facility along with future interest @9% per annum from the date of filing of the Original Application i.e. 15.07.2022 till full payment/realization of the amount mentioned in this operative order.

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D} The aforesaid adjudicated amount is secured by the valid and subsisting mortgage of agriculture land bearing Gat No. 106 (P) admeasuring 12R, Gat No. 107 (P) admeasuring 07R, Gat No. 115 admeasuring 1H 69R and Gat No. 128(P) admeasuring 40R at village Dalimb, Taluka Daund, District Pune, more particularly described in the Para Nos. 5.7, 5.14 and 5.21 of the Original Application.

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E} The applicant Bank is entitled to sell the mortgaged

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Sanap ( OA No. 256/2023 ) 6 of 7

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property to recover its dues.

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F} Issue Recovery Certificate.

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G} The Registrar is directed to send the copy of Judgment and Recovery Certificate to the applicant and defendants.

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Sd/( Dilip G. Murumkar ) Place : Pune Presiding Officer Date : 03.04.2025 Debts Recovery Tribunal, Pune.

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Sanap ( OA No. 256/2023 ) 7 of 7

Uco Bank v. Dnyandev Mhaske

Case brief

What is this about?

What did the court decide?

Uco Bank v. Dnyandev Mhaske

Case brief

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